Health insurer Aviva has announced it is increasing premiums by 5.2 per cent on a range of plans.

The company said it "deeply regrets" the hikes, which will come into effect on January 1, 2014.

It said they have been forced to increase prices because of changes in Government policy on hospital bed charges and the increasing cost of claims as its customers get older.

Aviva’s CEO, Alison Burns said: “At Aviva Health, we are deeply conscious of the struggle our customers face to maintain their health cover. That is why we have decided not to increase the price of some of our popular entry level plans.

“Those due to renew in January and February already face premium increases as a result of the government’s decision to reduce tax relief. With this in mind, we have held our increase to the absolute minimum of an average of 5.2%.”